People can lose their bitcoins in certain situations. Bitcoins are kept in digital wallets, protected by private keys. If someone loses their private key, they lose access to their bitcoins permanently since there's no way to recover them. Common reasons for losing bitcoins include:
Forgetting passwords or private keys.
Losing or damaging hardware wallets.
Accidentally deleting wallet files.
Not sharing wallet access before passing away.
Sending bitcoins to the wrong address.
How Many Bitcoins $BTC Are Lost?
Experts estimate that 3 to 4 million bitcoins, or about 15% to 20% of the total 21 million supply, are lost forever. This is based on inactive wallets, including those linked to Bitcoin's creator, Satoshi Nakamoto.
These lost bitcoins make Bitcoin even scarcer, which some think increases its value over time.
